BOC says growth 'front loaded' as if it's a good thing.
Apr 22nd 2010, 8:57 pm
#1
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BOC says growth 'front loaded' as if it's a good thing.
http://www.news1130.com/news/nationa...overy-boc-says
No fcking kidding. To paraphrase.
In summary: Debt is wealth and Canadians are richer than ever.
But the bank cautions that much of the activity is a result of front-loaded spending by Canadians as a result of extraordinary government stimulus and low interest rates.
The economy "grew" cos we've all borrowed loads of cash and now have ridiculously large debts we didn't have before the recession.
Apr 22nd 2010, 9:01 pm
#2
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Re: BOC says growth 'front loaded' as if it's a good thing.
Or: the economy grew because we spent a load of money getting our houses fixed up because the government were giving us a $1,350 hand-out.
Apr 22nd 2010, 9:09 pm
#3
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Re: BOC says growth 'front loaded' as if it's a good thing.
Though I accept that encouraging business activity is a good thing; I never thought much of this scheme. It either brings forward spending that would be done anyway (so has no net economic effect) or is just a one off that isn't repeated. It might be enough to keep some business from going under for a short time, whether it's enough in the long term is yet to be seen.
Apr 22nd 2010, 9:38 pm
#4
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Re: BOC says growth 'front loaded' as if it's a good thing.
Though I accept that encouraging business activity is a good thing; I never thought much of this scheme. It either brings forward spending that would be done anyway (so has no net economic effect) or is just a one off that isn't repeated. It might be enough to keep some business from going under for a short time, whether it's enough in the long term is yet to be seen.
Apr 22nd 2010, 10:31 pm
#5
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Re: BOC says growth 'front loaded' as if it's a good thing.
http://www.news1130.com/news/nationa...overy-boc-says
No fcking kidding. To paraphrase.
In summary: Debt is wealth and Canadians are richer than ever.
No fcking kidding. To paraphrase.
In summary: Debt is wealth and Canadians are richer than ever.
Apr 22nd 2010, 11:10 pm
#6
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Re: BOC says growth 'front loaded' as if it's a good thing.
Do you have evidence of this? I haven't seen anything like that reported.
Apr 23rd 2010, 12:03 am
#7
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Re: BOC says growth 'front loaded' as if it's a good thing.
HST in Ontario and BC will soon stop any growth
Apr 23rd 2010, 12:10 am
#8
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Re: BOC says growth 'front loaded' as if it's a good thing.
My gut reaction is to agree. However I know JonboyE thinks otherwise and he makes a good argument which has me mostly convinced. I think I'll wait and see though, however I do think any negative effects of the HST are going to be dwarfed by the effects of interest rate increases, new mortgage rules and the high dollar stifling exports.
Apr 23rd 2010, 8:42 am
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Re: BOC says growth 'front loaded' as if it's a good thing.
I thought it stopped a long time ago in Ontario. When I came here in 1987, there were plenty of good paying jobs. All I have seen since the early 1990s is a gradual decline. Last year Ontario experienced 59% of Canada's job losses. Those that came in the 50s and 60s did the best.
http://www.nupge.ca/content/job-crea...dget-goal-ccpa
Okay, they say it is improving this year. I wonder if the salaries are?
http://www.nupge.ca/content/job-crea...dget-goal-ccpa
Okay, they say it is improving this year. I wonder if the salaries are?
Last edited by johnh009; Apr 23rd 2010 at 8:50 am.
Apr 23rd 2010, 8:22 pm
#11
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Re: BOC says growth 'front loaded' as if it's a good thing.
My gut reaction is to agree. However I know JonboyE thinks otherwise and he makes a good argument which has me mostly convinced. I think I'll wait and see though, however I do think any negative effects of the HST are going to be dwarfed by the effects of interest rate increases, new mortgage rules and the high dollar stifling exports.
Looks like Greece is going to need more money and now the target for the speculators is Portugal. Eventually the Germans will decide they've put enough money in. Who knows what will happen then?
http://news.bbc.co.uk/2/hi/business/8639440.stm
Apr 23rd 2010, 8:44 pm
#12
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Re: BOC says growth 'front loaded' as if it's a good thing.
Eventually the Germans will decide they've put enough money in. Who knows what will happen then?
Apr 23rd 2010, 9:13 pm
#13
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Re: BOC says growth 'front loaded' as if it's a good thing.
I'd say Obama is going to keep printing money at least until the election; he really has no other choice if he doesn't want an even bigger massacre in Democrat seats than he's already sure to get.
Either the Greeks and other spendthrifts are kicked out of the Euro or Germany leaves; at which point the whole EU is likely to fall apart. If we're lucky it will go back to just a free trade zone, because centralised government over such diverse cultures never made any sense.
Either the Greeks and other spendthrifts are kicked out of the Euro or Germany leaves; at which point the whole EU is likely to fall apart. If we're lucky it will go back to just a free trade zone, because centralised government over such diverse cultures never made any sense.
Apr 23rd 2010, 9:36 pm
#14
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Re: BOC says growth 'front loaded' as if it's a good thing.
Either the Greeks and other spendthrifts are kicked out of the Euro or Germany leaves; at which point the whole EU is likely to fall apart. If we're lucky it will go back to just a free trade zone, because centralised government over such diverse cultures never made any sense.
Apr 23rd 2010, 9:38 pm
#15
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Re: BOC says growth 'front loaded' as if it's a good thing.
I can't see the germans letting the euro fail, but I agree that I can't see them bailing out the likes of greece forever. It will be interesting to see how this pans out.